January 28, 2000

To: Economic Development and Parks Committee

From: W. A. Liczyk, Chief Financial Officer and Treasurer

Subject: 2000 Budgets - Business Improvement Areas: Report No. 2

Purpose:

This report brings forward Business Improvement Area (BIA) annual operating budgets for approval by Council as required by Section 220 of the Municipal Act, as amended. Council approval is required to permit the City to collect funds through the tax levy on behalf of the BIAs.

Complete budgets received to date have been reviewed and reported in this or previous reports; BIA budgets received after this date will be brought forward in subsequent reports.

Financial Implications and Impact Statement:

No City funding is required because Business Improvement Area budgets are raised by a special levy on members.

Recommendations:

It is recommended that:

1. Economic Development and Parks Committee adopt and certify to City Council the 2000 expenditure requests of the following Business Improvement Areas:

Business Improvement Area 2000 Budget Request

($)

Danforth by the Valley 78,100

Forest Hill 25,031

Gerrard India Bazaar 100,000

Hillcrest Village 16,091

Little Italy 241,986

Pape Village 36,000

St. Lawrence Neighbourhood 70,000

2. a copy of this report be forwarded to the Policy and Finance Committee for its information;

3. authority be granted for the introduction of the necessary bill in Council; and,

4. the appropriate City officials be authorized and directed to take the necessary action to give effect thereto.

Background:

BIA Operating Budget Process:

The Municipal Act requires that BIA operating budgets be approved by Council. General membership and Board of Management meetings at which the BIA 2000 operating budgets were approved are set out below:

Approved by Approved by

Board of Management Membership

Danforth by the Valley November 2, 1999 November 30, 1999

Forest Hill January 18, 2000 January 18, 2000

Gerrard India Bazaar November 25, 1999 November 25, 1999

Hillcrest Village November 9, 1999 November 9, 1999

Little Italy September 29, 1999 November 4, 1999

Pape Village November 3, 1999 November 25, 1999

St. Lawrence Neighbourhood September 29, 1999 November 10, 1999

Appendix A includes a summary of the BIA budgets discussed in this report, including their net levy requirements. Appendix B sets out the status of BIA budget submissions.

Comments:

Most BIA 2000 budgets do not reflect major changes over 1999. However, some propose significant increases in expenditures.

The Danforth by the Valley BIA operating budget was approved at meetings of the BIA=s Board of Management on October 27, 1999 and its general membership on November 29, 1999. The 2000 budget proposes to increase spending over the 1999 level by $13,170 (20.3%) to fund increased capital spending.

The Gerrard India Bazaar BIA operating budget was approved at meetings of the BIA=s Board of Management and its general membership on November 25, 1999. The 2000 budget proposes to increase their budget by $40,000 (66.7%) over the 1999 level to fund increased capital spending.

The Little Italy BIA budget submission indicates a $113,776 surplus for 1999. This surplus has been accumulated over several years to fund capital projects undertaken by City departments, such as tree lighting and streetscaping, for which the BIA has not been billed. It is expected that this surplus will be expended during 2000 as invoices are sent by City departments and paid.

Contact:

Joe Borowiec, Budget Services Division, Finance Department, 397-4298

Ingrid Girdauskas, Sr. Commercial Area Advisor, Small Business and Local Partnerships, Economic Development, Culture and Tourism Department, 392-1134

W. A. Liczyk

Chief Financial Officer and Treasurer

List of Attachments:

Appendix A - BIA Budget Summary

Appendix B - Status of BIA Budget Submissions

APPENDIX A

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APPENDIX B